0. Effective Pilot Manpower Planning for Major US Airlines
Julian E. Pachon
Caleb Technologies Corp.
INSTITUTE FOR MATHEMATICS AND ITS APPLICATIONS
Minneapolis, MN
Nov 11-15, 2002

1. Agenda Business problem context Definitions Problem Description
Solution Approach
Value to airlines

2. Airline Operations Roadmap
CALEB Tools
Crew Resource-
Solver
Pairing- TM
Ops-
Crew-
CALEB Development
Pax-
Solver
Replane
Demand
Driven
Dispatch (D3)
CALEB Research
Strategic
“war room”
Tactical
Day of
operations
Crew
Recovery
monit.
& control
Pairing
adjustment /
re-planning
Crew Assignment
Generation
Manpower
Training
Planning
Bidline
PBS
Roster
Aircraft
adjust. / re-
scheduling
Aircraft Scheduling
Network Planning
Pax
Pricing and Yield Mgt
Demand Forecasting TM

3. Agenda Business problem context Definitions Problem Description
Solution Approach
Value to airlines

4. Definitions Pilot Position => (Base, Equipment, Status)
Crew Base (e.g. IAH, CLE, EWR,GUM)
Equipment (e.g. B777, DC-10)
Status: pilot’s seat on the cabin (CA,FO,SO)
Pilot Pay Rate => f (position, longevity)
Seniority Number: longevity of a pilot in the airline with respect to the other pilots

5. Definitions
Business Plan Block Hours: Total number of pilots hours per position per bid period needed to cover scheduled flights
System Bid Award: Process by which the airline adjust the number of pilots at each position and by which the pilots are allow to change their position positions

6. Agenda Business problem context Definitions Problem Description
Solution Approach
Value to airlines

7. Manpower planning and training
Problem Description
Bid Award Process
Positions offered
Pilot bids
System Bid Award
Pilots that need
to be advanced
without training
Pilots that need
to be trained
and advanced
Pilots to
be furloughed
Age 60 pilots
with no award
to be released
Pilots who
have chosen
to retire
Pilots that
hold the
same position
Open
Positions
Pilots to
be displaced
Manpower planning and training
Advance
Train
Release
Release
Hire
Advance
Decision is fixed
When ?
Bid Effective Date: By this date all pilots must be advanced or released

8. Manpower Planning and Training
Problem Description
Business plan
block hours
Manpower Planning and Training
Constraint
Cost

9. Block Hours Captain moving from 737 CA IAH to 757 CA EWR Time periods1 2 3 n 4
BH1
BH2
BH3
BH4
BHn
Block Hours
737 CA
IAH
Training Duration ~ f(current position, future position)
Time periods 1 2 3 n 4
BH1
BH2
BH3
BH4
BHn
Block Hours
757 CA
EWR
Objective: Minimize percentage shortage
Block Hrs Shortage %Shortage
CAP IAH 70,000 1, %
DC10 F/O EWR 5,000 1, %

10. Block Hours

11. Manpower Planning and Training
Problem Description
Business plan
block hours
Manpower Planning and Training
Constraint
Cost
Pay protection costs

12. current position future position
Pay Protection
-One for all pay protection
current position future position
1015 J.Jhonson IAH,727,CAP IAH,737,F/O
1230 M.Summanth EWR,727,F/O IAH,737,F/O
1312 K. Smith CLE,727,CAP IAH,737,F/O
1312
1230
1015
=>1312 pay protects 1230 for 2 months and 1015 for 1 month

13. Manpower Planning and Training
Problem Description
Pay protection costs
Business plan
block hours
Manpower Planning and Training
Constraint
Cost
Pilot
vacations

14. Pilot Vacations
Airline estimates pilots needs and post 7-day vacation slots for bidding
Pilots bid for vacations at the beginning of the year
Airline award vacations base on seniority
Training needs to be scheduled around vacations

15. Manpower Planning and Training
Problem Description
Pilot
vacations
Pay protection costs
Business plan
block hours
Manpower Planning and Training
Constraint
Cost
Capacity of Training
Resources

16. Capacity of Training Resources
Predetermine curricula for each type of training (e.g. primary systems, re-qualification class)
For each training day in the curricula different resources are required: Classrooms, Instructors, FTD (Flight Training Device), FSS (Flight Simulation Devices)
Previous commitments, recurrent training
Do not exceed
capacity of
training devices
Pilot
days off
Specific Instructor
Qualification
each training day

17. Manpower Planning and Training
Problem Description
Capacity of Training
Resources
Pilot
vacations
Pay protection costs
Business plan
block hours
Manpower Planning and Training
Constraint
Cost
New hire cost
Release cost

18. Hiring and Furloughing
-Hiring as late as possible is desirable
Reduces the payroll cost
Estimated block hours need may change
-Furloughing as soon as possible is desirable
Reduces the payroll cost
Need to be released in seniority order

19. Manpower Planning and Training
Problem Description
New hire cost
Release cost
Capacity of Training
Resources
Pilot
vacations
Pay protection costs
Business plan
block hours
Manpower Planning and Training
Constraint
Cost
Pilot Groupings in
Training Classes

20. Pilot Grouping into Classes
Preference to train pairs of Captains and First Officers
Additional instructor events are avoided
Quality of training

21. Manpower Planning and Training
Problem Description
Pilot Groupings in
Training Classes
New hire cost
Release cost
Capacity of Training
Resources
Pilot
vacations
Pay protection costs
Business plan
block hours
Manpower Planning and Training
Constraint
Cost
Training cost
Constraint
Cost

22. Number of extra days-off
Training Cost
M = Length of curricula (e.g. Primary Systems 757=>56 days)
F = Footprint (time spent in training)
L = Length of time to complete to complete training for N students L n1 n2 nk
F = M
Cost of training
=f(total footprint) n1 n2 nk
Number of extra days-off
F > M L

23. Agenda Business problem context Definitions Problem Description
Solution Approach
Value to airlines

24. Management and Monitoring
Solution Approach
Transition Planning
Training Scheduling
Crew
Resource Database
Management and Monitoring

25. Implementation Complexity – Key data sources
Owned by
ResourceSolver
Pilot Crew Records
FA Crew Records
External
Interfaces
Pilot Seniority FA
Seniority
FA Training
Pilot Training
Crew Resource Database
Capability and Absence
Training Scheduling HR
Staffing Info
Pilot Training Qual/Rqmts
Payroll
Business Plan Block Hours
Pilot Position
Awards

26. Ability to meet business plan
Solution Approach
Key Input
Solver
Output
Block Hours
Staffing
Ability to meet business plan
Transition Planning
Position
Awards
Transitions
Advancement
Hiring
Attrition
Training
Training
Capacity/
Requirements

27. Detailed Resource Utilization
Solution Approach
Key Input
Solver
Output
Transition Plan
Training Schedule
Training Scheduling
Training
Resources
Detailed Resource Utilization
Plan
Training
Curricula

28. Transition Plan –Math Model-
Hierarchical Problem:
Determine minimum level of shortages
Shortages in early bid periods are more “critical”
Determine appropriate trade-off between shortages and dollar cost
Inventory Model with sides constraints
MIP problem (special branching directions)
~25,000 constraints
~15,000 variables

29. Training Scheduling This problem is solved by fleet
Layout the classes minimizing length of time the pilots spend in training and considering feasible usage of resources
=>Branch and bound rolling horizon algorithm (i.e. consider a subset of n classes, solve and fix “m” classes)

30. Training Scheduling -Branch and Bound-
-A subset of classes is considered in each branch and bound tree
-Min and max start date for each class
t=0, Root Node
No classes have begun
t=1
1st day class 1
1st day class 2
1st day class N
Each node in each branch and bound tree represents a partial schedule through the current calendar day t
-From a node D a node D’ is reached scheduling a training day or a day-off for each class
-Cut branches by:
Node elimination: Violation resource availability, Days-off constraints
Lower Bound: The objective is to minimize the collective length of time pilots spend in training, Based on partial schedule and required training days remaining a lower bound is computed
-A depth first search approach is used to search the entire tree

31. Agenda Business problem context Definitions Problem Description
Solution Approach
Value to airlines

32. Value to airlines Significant Cost Savings
2-4% reduction in time pilots are away at training
Up to 10% reduction in new hires
Reduction in pay protection costs
Reduction in block hour shortage
Estimated Cost Savings of $ per year
Significant
Cost Savings
Increased
Productivity
Provides what-if functionality for scenario planning
From 3 crew planners building a solution in 13 days to less
than 1 hour
From 4 training schedulers building classes each month for a
period of 3 days to few minutes
Unified,
cross-
functional
Solutions
Cross functional, enterprise-wide system through single,
centralized database
- Manpower planning
- Training
- Finance

33. End